Im currently in Japan and I have been contemplating entering the Real estate. Being in Japan is hindering me a bit, so I am coming to the states for about two months, and by the time I leave, I would like to have at least one rental property or wholesale two properties. I’d like to know what you would suggest I do to make the best use of my time while IM there and what I can do now to be prepared.
Forget it! 2 months?? I’ve had ads in newspapers for 2 years and only got 3 deals out of them. They were great deals, but it took along time to find them. I run ads that cost me about $600/year so if I get one deal/year and make let’s say $25,000 it’s the best investment going.
You’d be better off saving your money. Or we’ll reading your sob story in this forum a few months.
The things that have worked for me the fastest are foreclosures, out of area landlords, code enforcement lists and abandoned properties.
Given your two month window.
You can buy lists of out of area owners at melissadata.com.
If you are tight on cash the best thing to do is to research foreclosures at the court house (if you can do it online in your area).
Start handwriting the letters that are you going to send people. Drop the first batch in the mail the day you get into town.
Mail to these leads every two weeks. Change you letter each time.
Park that cash in something with a good return for 2 months and keep reading until you’re back.
Be sure you have your “I will not buy below this” formula down, and stick to it. 2 months sounds like you will pressure yourself to death to find a deal. Be sure you don’t convince yourself you found one just so you can get it done in the limited time you have.
Whay did you mean by this " I will not buy below this formula". I thought the name of the game was to buy low. Did you mean something else?
The name of the game is to buy low, but you must have a criteria for your purchases. As an example (Remember still a newbie so there maybe holes if so let me know) I will not spend more than 70% ARV of a 3/2 flip and sell. You must set your own limits or you will end up like most of the REI newbies. You must know your market and that means you just can’t walk in and buy your first house for oh say 75k because it is the lowest on the market at the time. To do this is financial suicide you need to know comps for the area as well as time on the market. Without knowing these you are just speculating (my belief).
Just my 2 cents
sounds like solid advice benji. Could you, or anyone, expand on the matter or refer me to book that will give me more insight?